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What do the coffee business and the cannabis business accept in common?

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As it turns out, it’s added than bodies ability expect.

The CannaCloud vaporizer is billed as the “Keurig of Cannabis” — it’s a device that heats marijuana to a specific temperature afterwards afire the plant — because it absolutely is aloof like its coffee-maker namesake.

It employs a similar pod-based technology that helped grow Keurig into the multi-billion dollar coffee authority that it is today.

The CannaCloud was alike advised by the aforementioned close that created the Keurig, Dave Manly, the administrator of CannaKorp, told Business Insider. (CannaKorp is the aggregation that builds the CannaCloud).

Manly is additionally a above Keurig controlling and was one of the prime architects of Keurig’s alarming growth. He abutting Keurig in 2002 when it was accomplishing alone $25 actor in revenue, afterwards a assignment at Procter & Gamble.

He guesses that he was apparently the 25th agent at Keurig, and by the time he left, the aggregation had developed badly — to over $5 billion in revenue. He concluded up as the arch of “innovation” at Keurig afore he semi-retired in 2014 afterwards a successful, 13-year assignment at the company.

And that’s back CannaKorp came calling.

“They were absolutely absorbed about award a Keurig guy because their accomplished abstraction was the ‘Keurig of Cannabis,'” Manly said. “I absorbed up with them as a consultant, and then, about a year later, I came on lath as administrator of the company.”

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This is how you amount the cannabis pod into the vaporizer.Courtney Verrill

Initially only absent to assignment as a part-time consultant, Manly came on as the company’s leader when it came time to accession some austere cash.

“It fabricated faculty for me to appear on as administrator back we were adopting our berry round,” Manly said. “It helped with investors and the media to say they had a above Keurig controlling with my accomplishments and chief akin controlling experience.”

When Manly aboriginal confused over to CannaKorp full-time, he additionally brought a few accompany from Keurig along.

“Our accepted CTO is a above Keurig controlling who developed all the Keurig coffee-makers, and we accept addition controlling who was in allegation of packaging at the company. It was actual synergistic,” Manly said.

In that aboriginal berry round, CannaKorp oversubscribed its original goal by 60%. It ended up with aloof beneath $1.6 actor in startup funds mostly aloft from ancestors and accompany of executives, as able-bodied as other absorbed bodies in their network.

As Manly tells it, the alteration from coffee to cannabis was an accessible one to make. It’s all based in the amount proposition.

“At Keurig, the abstraction was that you could get a abundant cup of coffee with no mess, and no clean-up,” Manly said.

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He says that amount hypothesis is what fabricated Keurig a $5 billion dollar aggregation — and he’s now aggravating to do the aforementioned affair with the CannaCloud.

It’s a glassy product.Courtney Verrill

As Manly explains it, appropriate now, you can go into a berth and buy the raw anatomy of the cannabis ache you want. Then, you accept to carriage it home, bullwork it, and cycle it into a joint, or backpack the raw annual into a aerosol or a bong. It’s messy, and it’s not acceptable for consumers.

With the CannaCloud, that’s no best a problem. The cannabis comes in pre-packed pods, aloof like Keurig coffee K-cups. The consumer can artlessly amount their adopted cannabis strain, and breath away, Manly said. There’s no mess, and no hassle.

Manly expects the CannaCloud to hit the bazaar in November. They’re planning on rolling out in Colorado and Washington first, area both recreational and alleviative marijuana are legal, and again accretion to California.

Dave Manly, the administrator of CannaKorp.CannaKorp

Right now, there are ancestor CannaClouds accessible for show, and they’re in the average of accomplishment the aboriginal accumulation of artefact in China.

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By 2017, if all goes according to plan, Manly said that the CannaCloud will be accessible in “five or six,” states.

But to get there, CannaKorp needs to accession a alternation A — a aboriginal big annular of adventure basic — to the tune of $4 actor to go to market, Manly said.

CannaKorp partnered with a close based in Illinois, Singularity Capital, to abetment with their financing. Like added cannabis startups, they’re mostly hitting up high-net account individuals and ancestors offices who appetite to jump into the cannabis industry.

Many cannabis startups accept had agitation accepting costs from institutional investors, like banks — as marijuana is still a Schedule 1 actuality at the federal akin — but CannaKorp doesn’t absolutely accord with the cannabis bulb itself, Manly said.